and allegedly implicated himself in the horrific attack. >> flu season gets off to a quick start. this year's strain is spreading quickly in some areas and making people sicker than usual. and lonely liberty. despite surviving superstorm sandy the statue of liberty remains off limits to visitors. >> this is the "cbs morning news" for wednesday, december 5, 2012. good morning. good to be with you. i'm terrell brown. we begin with negotiations to avert the so-called fiscal cliff both republicans and white house hold their lines and no formal talks yesterday. president obama said he wasn't ruling out some reductions in entitlement programs such as medicare and social security, meanwhile house speaker john boehner has to win over hard liners in his own party. susan mcginnis is following it all. >> reporter: hi.

good morning. there are some glimmers of common ground here among the two sides that could form the basis of a deal. the president is now talking about actually lowering the tax rate for the top 2% not now but later. and republicans are now taking some heat over their latest plan a lot of it from within their own party. >> five, four -- >> reporter: house speaker john boehner led the countdown to the lighting of the capitol hill christmas tree last night. >> one. >> reporter: but a different countdown weighs on the minds of these lawmakers, the countdown to the fiscal cliff. a series of tax increases and spending cuts due to kick in at the end the year. >> god bless us, everyone. >> reporter: speaker boehner offered the republican proposal this week and now he faces opposition from president obama. >> the speaker's proposal is out of balance. >> reporter: some in his own

party are lining up against him. jim demint a tea party leader said speaker boehner's $800 billion tax hike will destroy american jobs and allow politicians in washington to spend even more. disagreements among republicans and democrats here on capitol hill is nothing new, but tuesday a republican aide told us the two sides aren't even talking. not surprisingly the white house disagrees. >> i can guarantee you conversations continue at different levels. and among different groups. >> reporter: both parties are ready to play the blame game in case negotiations fail. >> there's only one person out of 370 million americans who can sign something into law and that's the president. >> 60% of americans are asking the wealthy to pay more. >> reporter: a "the washington post" poll say 53% of americans will blame republicans and 29% would hold the president responsible if the nation goes over the fiscal cliff. the two sides appear close to an agreement on little things.

it could lead to higher airline ticket prices and no more mail delivery on saturday. >> oh, boy. susan mcginnis in washington this morning. susan, thank you so much. one of the tax breaks due to expire next month is the payroll tax. that's the tax listed on your pay stub as fica. the money you pay into social security and medicare. it was reduced by two percentage points during the recession. jim axelrod has more. >> reporter: the payroll tax cut has given this family an extra $70 a month to spend. john is a maintenance man in jersey city, new jersey. >> are you paying any attention to what's going on in washington right now? >> of course. >> reporter: their $50,000 a year income put them almost exactly in the middle of the american household. if it's not extended those

$1,035 more. >> do you have room to cut back? >> no. >> reporter: if the tax cut expires paycheck contributions will go from 4.2% to 6.2%. that's $115 billion a year that would go to deficit reduction instead of being pumped into the economy. heidi sherholtz is an economist. >> it's less money for consumers to spend, that means that the demand for business services will drop, who provides goods and services, workers, so employment will fall. >> reporter: those in favor allowing the tax cuts to expire argue money for social security payments has to come from somewhere. although john says that somewhere will mean doing without some of the basics. >> might be a pair of sneakers. >> reporter: might be a jacket. might be those pair of boots that they want to go there and keep warm.

>> for john the debate in washington is not about the federal budget it's about his family's. jim axelrod, cbs news, west new york, new jersey. >> early this morning a tentative deal was reached to end the strike that shut down this nation's largest port complex. workers are expected to return to work this morning. clerks at the ports of los angeles and long beach, california had been on strike for eight days. the deal was reached hours after federal mediators entered the talk. the port handles a billion dollars worth of cargo a day. >> the flu season has gotten off to an early jump. and in one county in tennessee, closing classes for the rest of the week. this year's strain of the virus is more severe. >> reporter: if you haven't had your flu shot yet, now is the time. health officials say this is the

earliest start of the flu season in nearly a decade. centers for disease control says alabama, louisiana, mississippi, tennessee and texas are all reporting higher than normal cases. >> we usually see flu begin to have an uptick in about four to six weeks from now. so seeing it this early could will predict not only a longer but a more severe flu season. >> federal health officials say the most common strain this year tends to make people sicker than usual but they are encouraged because this year's vaccine seems to protect against it. more than a third of the nation have already received their flu shot. the vaccine is recommended for everyone six months or older. people very young, very old or what have health problems are at greatest risk but the flu can knock anyone out of work or school for a week or so. >> a high fever, cough, body aches, sore throat, those are the main symptoms. >> this particularly strain is hard on the elderly. by 70-year-old noel jeffrey isn't concerned. >> i believe in preventive medicine. so i get the flu shot every

single year. and i never had the flu. >> reporter: he said there's no reason why everyone shouldn't get vaccinated. overseas now there were mass demonstrations outside the presidential palace in cairo, egypt. more than 100,000 egyptians angered by president morsi's power grab demonstrated. tuesday's protests were named the last warning as the crowd grew morsi left through the back door and returned to work this morning. in london the pregnant duchess of cambridge is feeling better. kate spent a second night in the hospital being treated for acute morning sickness. prince william spent several hours with his wife yesterday. kate is expected to remain hospitalized for several days. coming up, subway investigation. a suspect is arrested in a deadly subway shoving in times square in new york. this is the morning news. subway shoving in times square in new york. this is the morning news. a bayer aspirin regimen. n

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the death toll from a powerful typhoon hmeri the death toll from a powerful typhoon hammering the philippines climbed. flash floods and landslides killed more than 200 people. dozens more are missing. forecasters say the storm is expected to get stronger and head towards vietnam later in the week. here in new york police say the man who shoved a subway rider to his death has implicated himself in the take. the suspect was picked up tuesday near twars -- times square. he shaved off his dredlocks after the incident. >> he was going after the suspect. he got in a confrontation with the suspect. >> he was going after him and the suspect was saying leaf me alone, you don't know me, i don't know you. >> charges against the suspect today and will put him in a lineup so witnesses can identify him. >> after being on the run for three weeks, anti-virus software john mcafee turned up in guatemala. he's seek being asylum because he believes he'll be killed if he returns to belize.

the of 67-year-old mcafee is considered a person of interest in the death of his neighbor a fellow american. >> and robin yount accidentally shot his friend, detail sveum. he hit him in the right ear and back. the two were teammates with the milwaukee brewers. sveum said he's fine and called yount dick cheney because the vice president shot a friend during a hunting trip. shouldn't be laughter in the studio. it's not funny. coming up next, your wednesday morning weather and in moneywatch no small gains. a truly special gift for the hard core starbucks coffee drinker on your holiday list. we'll be right back. drinker on your holiday list. we'll be right back. it was like a red rash...

very sore looking kinda blistery. like somebody had set a bag of hot charcoal on my neck. i was a firefighter for 24 years. but, i have never encountered such a burning sensation until i had the shingles. i remember it well. i was in the back yard doing yard work. i had this irritation going on in my lower neck. i changed shirts because i thought there was something in the collar of the shirt irritating my neck. and i couldn't figure out what was going on. i had no idea it came from chickenpox. i always thought shingles was associated with people... a lot older than myself.

i can tell you from experience, it is bad. it's something you never want to encounter. for more of the inside story, visit shinglesinfo.com here's a look at the weather in some cities around the country. partly sunny in new york city, 54 degrees. occasional showers in miami 79. mostly sunny in chicago 41 degrees. partly sunny in dallas 68, clearing in l.a., 72. let's check your national forecast. the storm that's been pounding the northwest begins to move inland. two inches of rain in northern california. snow up to 12 inches could fall from northern rockies to wyoming. a cold front heads to the southeast bringing showers and thunderstorms. warm temperatures in the northeast begin to fall and it will be dry across most of the midwest. cbs moneywatch time on a wednesday.

special holiday. yes. is it wednesday? i just want to make sure. wednesday. cbs moneywatch now. special gift for starbuck fans. ashley morrison is here in new york with more on that. >> reporter: good morning. asian markets got a lift after chinese government officials signalled more stimulus efforts. tokyo's nikkei rose half of a percent while the hang seng gained 2%. wall street investors are waiting for a fiscal cliff deal. stocks were unchanged. the dow lost 13 points while the nasdaq was down five points. bank profits are getting bigger. the financial industry earned $37.6 billion in the third quarter. that's an increase of more than 6% and it could lead to more lending. there's good news on the housing front. a survey shows housing prices were up more than 6% in october. that's the best gain in six years. starting in 2016 the disney characters are coming to netflix.

they landed exclusive rights to stream disney movies before they air on cable networks. netflix will get some of disney's classic movies. no financial terms of the deal were released. and just in time for the holidays, starbucks is introducing a $454 gift card. the card is made of etched steel. comes with $400 on it. the reason why it's $450? it costs $50 just to make the card. there will be only 5,000 available and they will only be sold on the website gilt.com. the card comes with a gold level starbucks membership for $400 you can buy 57 cups of starbucks new $7 roast. i didn't know there was a gold level membership at starbucks. but i think i need it now that i know. >> i could use some of that coffee. ashley morrison here in new york. thank you.

in sports this morning there's a buzz going around the nba the hornets will change their name. as early as next season they will become the new orleans pelicans. better than the pigeons, i suppose. just some context. it's the louisiana state bird. the league's worst team went up against lebron james and the miami heat in the third. jordan crawford nailed a three. put the wizards up by seven. the heat crawled back. james with a chance to tie but misses. washington gets the rebound and the win 105-101 over miami, only their second win of the season. a scare for the lakers. kobe bryant gets smacked in the face driving to the basket and goes down in pain but stays in the game. toney douglas hits from downtown. gives the rockets the lead. kobe gets the lakers within one. not enough. houston downs l.a. 107-105. when we come back why the statue of liberty remains off limits to tourists and then buckle up. oh, my goodness.

look at who is in the driver's seat. we'll check out specially trained dogs who are hitting the road. at. we'll check out specially trained dogs who are hitting the road. it could also mean living with joint damage. help relieve the pain and stop the damage with humira, adalimumab. for many adults with moderate to severe ra, humira is clinically proven to help relieve pain and stop joint damage. so you can treat more than just the pain. humira can lower your ability to fight infections, including tuberculosis. serious, sometimes fatal events, such as infections, lymphoma, or other types of cancer, have happened. blood, liver and nervous system problems, serious allergic reactions, and new or worsening heart failure have occurred. before starting humira, your doctor should test you for tb. ask your doctor if you live in or have been to a region where certain fungal infections are common. tell your doctor if you have had tb, hepatitis b, are prone to infections or have symptoms such as fever, fatigue, cough, or sores.

you should not start humira if you have any kind of infection. ask your rheumatologist about humira, to help relieve pain and stop further joint damage before they stop you. lit up green. how the rain will impact your commute. plus: a violent night in the east bay. four people are shot in oakland.... and a bicyclist is killed in berk. and let's make a deal! a crippling port strike ends n los angeles. what it took to get workers back on the . join us for cbs 5 eyewitness news this morning... beginng at 4:30. developing news in the east,

here's a look at the weather in some cities around the country. in washington, clearing and 61. showers in atlanta, 67. mostly sunny in st. louis, 56. partly sunny in denver, 68. showers in seattle, 47 degrees. add the statue of liberty of long list of things damaged by hurricane sandy. after being closed for almost a year for renovation the statue was opened one day before the superstorm struck. lady liberty is fine but the island she stands on is severely damaged. >> reporter: arriving at the statue of liberty after sandy, park superintendent david

lucinger had a bittersweet moment. >> she was still standing there and proud and defiant. >> reporter: lady liberty survived without damage but at her feet it was a different story. waves and storm surge flooded 75% of the island, wrecking the dock and critical infrastructure. >> in the history of the park service this is the largest incident we've ever had to respond to. >> sea grass marks where water hit the shore. >> reporter: the superintendent lived here full time with his wife. a setting he called romantic and emotional. their home is destroyed. the water level reached about here. most of the damage on liberty island will be repaired but this homicide well not be rebuilt. >> probably not. these buildings are not sustainable with the sea level rise and global warming, it doesn't make sense. >> reporter: the flood destroyed 80% of the inventory at the concession stand. the owner had to lay off his

workers. the island remains closed to the public. >> optimistically i would say months not weeks. >> reporter: the storm hit one day after the statue's crown reopened following a year long renovation. for now millions of new york visitors have to admire it from a distance. >> in auckland, new zealand man's best friend is learning a new trick. an animal expert has decided to teach three dogs from a shelter how to drive a car. he said he wanted to prove how smart dogs really are and hopefully find them good homes. the dogs trained for two months on skills like switching gears and using a steering wheel. >> we change behaviors. we're putting together behaviors and put them into a sequence. a lot to do and the dogs get an idea what actually is happening and takes a long time. >> that scares me. using modified cars the dogs managed to drive with help from a trainer beside them.

the real test comes next week when the canines are expected to drive alone. that's for a live tv broadcast. if you're watching in new zealand i'm telling you get off the road. i'm terrell brown. this is the "cbs morning news." ,,,,,,,,

a photographer here in new york city has found a way to bring the world to our door step. it's through pictures of children and seth doane reports he doesn't have to go far to find a subject. >> reporter: a yemeni girl peers out over her neighborhood. a young malaysian eats at her favorite restaurant. an afghan boy cools himself on a hot summer day.

seven years ago danny goldfield set out to take pictures of one kid from every country on earth. >> so far i photographed children from 169 countries so i have 24 more to go. >> what's interesting about this project is you didn't travel around the world to shoot these pictures you shot everything right here in new york city. >> yeah. to do the project i traveled the world with my metro card. >> reporter: a new york city subway metro card was his ticket to the city's diverse neighborhood. the idea was sparked on a cross country trip when goldfield met rana singh sodhi at an arizona gas station. his brother had been murdered in a hate crime, gunned down in the days after 9/11. >> instead of receding from the world he did the opposite. he bravely said to me he was going to go out into the world and meet his neighbors. >> reporter: he was inspired to meet his own neighbors in a city of 8 million where one in three

is foreign born. >> the way i did it is i started to show up at different organizations and mosques and restaurants. and also hair braiding salons. >> reporter: his photographs are now on display at this community center, jcc in manhattan. >> ever heard of this country yemen. it's like in the middle east area. >> reporter: one of the 169 faces. a nicauragan orphan who was adopted and brought to the u.s. at 7. she's 16 now. her picture is pictured between new zealand and niger. >> knowing other kids are from different places and living here makes me feel welcomed. >> before i meet them the most important thing they are from a country so i can scratch it off a list. once i meet them it becomes less important. >> why? >> each one of these pictures i hope captures a specific moment that reveals the authentic spirit of who they are.

>> reporter: goldfield wants viewers to look beyond the skin color or the clothing that so often divide. these photographs are not about differences at all. seth doane, cbs news, new york. coming up after your local news on cbs "this morning" an update on the flu season that's off to an early start. we'll find out how bad it will get and have recommendations for those at risk. and the business of dinosaur smuggling. john miller gives us an inside look on fossil thefts. and a preview of tonight's announcement of the grammy award nominations. you can catch that right here on cbs. that is the morning news for this wednesday as always appreciate you watching. i'm terrell brown in new york city. have a great day. terrell brown in new york city. have a great day. ,,,,

>> your realtime captioner: linda marie macdonald developing news in the east bay. a bicyclist was shot and killed outside a berkeley middle school on derby drive last night. these are live pictures of the active scene. good morning, it is wednesday, december 5. i'm frank mallicoat. >> and i'm michelle griego. time now 4:30. we'll get to our developing story in berkeley in just a minute. but first, rain is back in the bay area this morning. the new weather front comes after three storms roared through the area last week and we have team coverage on the storm with gianna franco checking traffic, anne makovec on flooding concerns in mill valley but first the latest from